Google valuation higher than Time Warner Welcome to the value-drive bubble

Google makes its money by selling advertisements on a per-click basis. If searchers don’t click, Google doesn’t make money.

Fortunately, searchers are clicking on paid advertisements at such a high rate, and are creating so much value for advertisers, that advertisers continue to poor money into online advertising. Why shouldn’t they? It’s measurable, and it works when done right.

Sure, the Google stock will come down from this high, but this is yet another monumental and symbolic event.